Matic jumps 5% despite major crypto rout: How does it work; why is it in demand

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MATIC Made-in-India crypto token Matic, which is the native token of Polygon, traded higher on Wednesday on a day when only four-five digital assets out of the top 100 cryptocurrencies showed positive movement. Sentiment in crypto market soured after China warned investors against speculative crypto trading.

In a widespread sell-off, bitcoin plunged as much as 13% to trade below the $40,000 level, while ether cracked over 16% to give up the $3,000 mark. However, despite the bearish mood, Matic traded 5% higher at $2.27 around 4 pm IST, according to CoinGecko. Over the last one year, the digital currency has spiked nearly 11,000%. Thanks to the recent rally in its price, Matic has become the 14th biggest cryptocurrency with a market capitalization of over $14 billion

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